a peek @ trends'15 - simposium'14 final 2post

A PEEK @SIMposium

Panelists

p4‐November‐2014

Bill Peterson, LiquidHubCaren Shiozaki, Thornburg Mortgage

Jennie Zamberlan, AvantiaJoseph Pucciarelli, IDCJoseph Pucciarelli, IDC

PresentersLeon KappelmanEph McLeanVess Johnson

Comprehensive Report http://www simnet org/?ITTrendsStudyhttp://www.simnet.org/?ITTrendsStudy

1© 2014 SIM International & Leon Kappelman, Primary Investigator

ITTechnologiesTechnologies

Organizations

Management

© 2014 SIM International and Leon Kappelman, Primary Investigator

People

IT Trends: The Research Project• Focus is IT management in organizations• Focus is IT management in organizations• Collaboration of academics and practitioners• Population: SIM members (c4800 senior IT executives)• Population: SIM members (c4800 senior IT executives)• Duration: 10 months, annually• Deliverables: Reports (full personal) SIMposium MISQE• Deliverables: Reports (full, personal), SIMposium, MISQE• SIM has specific objectives:

• Value proposition for existing membersValue proposition for existing members• Create unique intellectual capital• Publicity and branding: “SIM, the voice of IT leadership”• Attract new members

• Academics have objectives too:D t h t h l titi• Do great research to help practitioners

• Get access to amazing data for publications and teaching

© 2014 SIM International and Leon Kappelman, Primary Investigator 4

The SIM IT Trends Study Process

© 2014 SIM International & Leon Kappelman, Primary Investigator 5

THE BOTTOM LINEResults show we’re in a time of profound change for business, technology, IT departments, and IT leadership.

• Focus of organizations and IT leaders changing. Emphasis

technology, IT departments, and IT leadership.

on business value, strategy, innovation, and speed.• How IT dollars are being spent is changing.• How IT is being delivered in changing.• With whom IT leaders spend their time is changing.• What IT leaders do with their time is changing.Not all organizations, CIOs, or C‐suite denizens will successfully

k i h h h l f hi i i i dmake it through the gauntlet of this transition period.

“It is quite likely that the CIO position is the most complicated and


It is quite likely that the CIO position is the most complicated and demanding job in organizations today. “ – 2015 SIM IT Trends Report

THE BOTTOM LINEChangingResults show we’re in a time of profound change for business, technology, IT departments, and IT leadership.

ChangingThi k Bi• Focus of organizations and IT leaders changing. Emphasis

technology, IT departments, and IT leadership.Think Bigon business value, strategy, innovation, and speed.

• How IT dollars are being spent is changing.Be Nimble• How IT is being delivered in changing.• With whom IT leaders spend their time is changing.

Be Nimble• What IT leaders do with their time is changing.Not all organizations, CIOs, or C‐suite denizens will successfully

k i h h h l f hi i i i dMove Fast

make it through the gauntlet of this transition periods.

“It is quite likely that the CIO position is the most complicated andChallenging© 2014 SIM International & Leon Kappelman, Primary Investigator 7

It is quite likely that the CIO position is the most complicated and demanding job in organizations today. “ – 2015 SIM IT Trends ReportChallenging

2015 theme song:2015 theme song: “The times they are a‐changin’”

“If your time to you is worth savin’;If your time to you is worth savin ; Then you better start swimmin’ or you’ll sink like a stone; For the times they are a‐changin’”a‐changin .

– Bob Dylan


2015 SIM IT Trends Study• 35th Anniversary of SIM IT Trends Study

• 1002 complete responses is the largest sample since study began in 1980

• 717 unique “Organizations” represented by a “Senior IT Leader”451 “CIO ” i th l• 451 “CIOs” in the sample

• Average revenue of 717 is $5.6 billion• Total revenue $4 trillion or 25 percent• Total revenue $4 trillion or 25 percent of the U.S. economy’s GDP.

• Average IT budget of 717, $287 millionAverage IT budget of 717, $287 million• $200 billion in 2014 IT spending.


35th Anniversary SIM IT Trends Study

Organization Trends:IT Spending, Staffing, and Structure

“We shape our buildings; thereafter they shape us ” Winston ChurchillWe shape our buildings; thereafter they shape us. – Winston Churchill


IT Organization Structure 2006 ‐ 20142006 2007 2008 2009 2010 2011 2012 2013 2014

74%77%80%

90%

2006 2007 2008 2009 2010 2011 2012 2013 2014

74%69%

72%69%

66%63% 65%

71.1%

60%

70%

80%

37% 35%40%

50%

60%

26%23%

31%28%

31%34%

37% 35%28.9%

20%

30%

40%

0%

10%

20%

717 U i O i i R i

0%Centralized Decentralized/Federated/Hybrid

9 yr. average: 69.7% 30.3%


717 Unique Organizations Reporting

Percentage of Revenue Allocated to IT Budget6%

4.9% 4.9%5.1%

5%

3.6% 3.6% 3.5%3.8% 3.8% 3.9%

3.6%4%

Average 4.08%

3%

2%

1%

0%2005 2006 2007 2008 2009 2010 2011 2012 2013 2014



Change in IT Budget from Previous Year 2004 – 2014 (actual) 2015 (projected)

60%

70%

2004 2014 (actual) 2015 (projected)Average (median) Increase

2014: 1.9% (2%) actual 2015 0 9% (1%) j t d

52%

63%61%

48%

56%46%

61%57%

63%

51% 52%50%

60%2015: 0.9% (1%) projected

48%

34%

25%

52%

30%

40%

30%

24%27%

35%35%

26%22%

20%

21%

20%20%

30%

17%20%20%

0%

10%

Increased No Change Decreased 0%2015

projected20142013201220112010200920082007200620052004

Increased No Change Decreased


Unique Organizations Reporting: 2014 = 512; 2015 = 485

IT Budget Allocation 2014 Actual and 2015 Projected2014 Actual and 2015 Projected

% Allocated to Category Projected

Percentage of Organizations Projecting 2015 Allocations

Average (median) Increase( ) l

Budget Categories

g y Projected Change

2014‐2015

Projecting 2015 Allocations Will:2014

Actual2015

Projected Decrease Flat Increase

Hardware 15.7% 15.4% ‐0.3% 25% 66% 10%

2014: 1.9% (2%) actual 2015: 0.9% (1%) projected

Software 17.9% 17.6% ‐0.3% 18% 67% 14%

Facilities (including supplies and 5 6% 5 4% 0 2% 13% 82% 5%

( g ppconsumables)

5.6% 5.4% ‐0.2% 13% 82% 5%

Employees 38.5% 38.8% 0.3% 13% 68% 19%

Consultants 6.5% 6.1% ‐0.4% 12% 77% 11%

Contractors 5.8% 5.4% ‐0.4% 12% 81% 7%

Increase in budget

Services (SaaS, PaaS, IaaS, cloud, processes, etc.)

10.1% 11.3% 1.2% 6% 68% 26%

Decrease in budget


366 Unique Organizations Reportingprojected 2014‐2015 projected 2014‐2015

IT Budget Allocation 2014 Actual and 2015 Projected

% Allocated to Category Projected

Percentage of Organizations Projecting 2015 Allocations

2014 Actual and 2015 ProjectedAverage (median) Increase

( ) lMagnitude of change

Budget Categories

g y Projected Change

2014‐2015

Projecting 2015 Allocations Will:2014

Actual2015

Projected Decrease Flat Increase

Hardware 15.7% 15.4% ‐0.3% 25% 66% 10%

2014: 1.9% (2%) actual 2015: 0.9% (1%) projected

of change in $s of spending

‐0.83%

Software 17.9% 17.6% ‐0.3% 18% 67% 14%

Facilities (including supplies and 5 6% 5 4% 0 2% 13% 82% 5%

‐0.59%

2 51%( g pp

consumables)5.6% 5.4% ‐0.2% 13% 82% 5%

Employees 38.5% 38.8% 0.3% 13% 68% 19%

‐2.51%

1.89%

Consultants 6.5% 6.1% ‐0.4% 12% 77% 11%

Contractors 5.8% 5.4% ‐0.4% 12% 81% 7%

‐5.12%

‐5.87%

Services (SaaS, PaaS, IaaS, cloud, processes, etc.)

10.1% 11.3% 1.2% 6% 68% 26%

Decrease in budget Increase in budget

13.11%



projected 2014‐2015 projected 2014‐2015

IT Budget Allocation 2009 2014 (actual) and 2015 (projected)2009‐2014 (actual) and 2015 (projected)

Projected 2009‐14 Average j

Change 2014‐2015

2015 Projected 2014 2013 2012 2011 2010 2009

g(weighted to 100%)

2009‐14 Average

Employees 0.3% 38.8% 38.5% 40.3% 40.0% 40.0% 46.0% 43.0% 38.1% 41.3%p y

Contractors ‐0.4% 5.4% 5.8% 9.5% 11.0% 5.0% 12.0% 12.0% 8.5% 9.2%

Consultants ‐0.4% 6.1% 6.5% 3.1% 9.0% 11.0% 10.0% 12.0% 7.9% 8.6%

Hardware, 0 8% 38 4% 39 2% 47 1% 40 0% 44 0% 32 0% 33 0% 36 2% 39 2%

,Software, Facilities

‐0.8% 38.4% 39.2% 47.1% 40.0% 44.0% 32.0% 33.0% 36.2% 39.2%

Cloud Services 1.2.% 11.3% 10.1% 9.3% 10.1%

Increase in budget projected 2014‐2015

Decrease in budget projected 2014‐2015



IT Budget Allocation 2009‐2014 (actual) and 2015 (projected) with Trendlines2009‐2014 (actual) and 2015 (projected), with Trendlines

50%

40%

30%EmployeesHardware, Software, FacilitiesContractors

20%

ContractorsConsultantsCloud Services

10%

0%2015 Projected 201420132012201120102009



Change in Average IT Salary

Projected 2014 15

Actual

Average Increase 2014: 2.03% actual2015: 1.32% projected

20.7%

2014‐15

7.0%

2013‐14

%

14.0%

9.5%

69.8%79 0%79.0%


Unique Organizations Reporting: 2013‐14 = 499; 2014‐15 = 474

IT Employee Annual Turnover Rates10.00%

20149.0%

8 00%

9.00%

2014• Involuntary = 3%• Voluntary = 6%

• Retire = 1 4%

5 8%

6.4%

7.1%6.6%

6 00%

7.00%

8.00%

9‐year average 6.26%

• Retire = 1.4%• Options = 4.6%

5.8%5.2%

5.5% 5.5%5.2%

5.00%

6.00%

3.00%

4.00%

1.00%

2.00%

0.00%2006 2007 2008 2009 2010 2011 2012 2013 2014



Percentage of IT Budget Spenton Training & Educationon Training & Education

4 7%5.0%

5%

6%

3.5%

4.7%

4%

5%

Average 3.72%

3.1% 3.2%2.9%3%

2%

1%

0%2009 2010 2011 2012 2013 2014



Percent of All IT Delivered by Cloud 18%

16%

18%

• 31.1% of all IT services are cloud‐based (up from 26.5%) • Cloud‐based IT is delivered via

12%

14% • internal private capabilities = 45%• external public capabilities = 55%

• 9.5% don’t use cloud at all, down from 19%90 5% ili “ h l d” ( f 81% i 2013)

8%

10%

spon

dents • 90.5% utilize “the cloud” (up from 81% in 2013)

Average 31.1%

6%

8%

Res g

2%

4%

0%

0 >0‐5 >5‐10 >10‐20 >20‐30 >30‐40 >40‐50 >50‐60 >60‐70 >70‐80 >80‐90 >90‐100Percentage of Cloud‐based Services


g528 Unique Organizations Reporting

Percent of All IT Delivered as Shared Service

25%• 46.9% of all IT delivered as shared services (down from 56.4%)• IT Shared Services is delivered via

• internal private capabilities = 62.2%

20%

internal private capabilities 62.2%• external public capabilities = 36.1%• other = 1.7%

• 16.6% don’t use shared services at all

15%

nden

ts Average 46.9%

10%Respon

5%

0%

0 >0‐10 >10‐20 >20‐30 >30‐40 >40‐50 >50‐60 >60‐70 >70‐80 >80‐90 >90‐100Percentage of IT as Shared Service


Percentage of IT as Shared Service452 Unique Organizations Reporting

Top 5 IT Performance Measures for In‐House IT and Outsourced ITfor In House IT and Outsourced IT

Used for: Internal IT2014

External IT2014

Rank Rank Performance Measures Availability 1 1IT

User satisfaction 2 7Value of IT to the business 3 10

Business

Business

Projects Delivered on Time 4 2Help Desk Performance 5 12IT

IT

Projects Delivered on Budget 7 5SLA Target Compliance 17 4IT

IT

None 27 3xxx


451 CIOs ReportingSorted by internal IT importance rankings

IT Alignment, Credibility, and Role in Strategy and Innovation

24© 2014 SIM International and Leon Kappelman, Primary Investigator

“It is not the most intellectual of the speciesIt is not the most intellectual of the species that survives; it is not the strongest that survives; but the species that survives is the one that is able to adapt to and to adjust best to the changing environment in which it finds itself.”finds itself.

– Leon Megginson (describing Charles Darwin’s findings)


35th Anniversary SIM IT Trends Study

CIO Trends

"The first responsibility of a leader is to define reality; the last is to say 'Thank you.' In between the two, the leader must become a servant.”

M D P– Max De Pree


7 Average Job Tenure of CIOs (in years)

5 10

5.96

5 205.41

6

4.10 4.30 4.60

5.10 4.45

5.20

4

5 Average 4.75

3.60

3

4

2

‐

1

‐2006 2007 2008 2009 2010 2011 2012 2013 2014


2014 = 451 CIO Respondents

To Whom the CIO Reports To: 2014

44.2%CEO/President

25.7%CFO/Treasurer

15.0%COO

9.4%Business Unit Executive

5.8%Other


448 CIOs Reporting

To Whom the CIO Reports To, 2005 ‐ 2014 50% CEO CFO COO SBU Other

40%

45%

CEO CFO COO SBU Other

CEO

30%

35%

40%

25%

30%

CFO

15%

20%

COO

5%

10% SBUOther

0%2005 2006 2007 2008 2009 2010 2011 2012 2013 2014


CIOs with a Seat at the Strategy Table I am on the top management team that makes strategic business decisions

55%60%

I am on the top management team that makes strategic business decisions.

40%

50%

21%

30%

9% 9%

21%20%

5%9% 9%

1%0%

10%

1 Strongly Disagree

2 Disagree 3 Neither Agree nor Disagree

4 Agree 5 Strongly Agree

Don't Know or N/A


364 CIOs Reporting

Last Position Before Becoming CIO (2010‐2014)70%

54%

62%

53%

59%62%

60%

2010

38% 37%40%

50%2011

2012

31%

37%

32%

28%30%

2013

2014

20%

4% 4%4% 3%5% 5%5% 4%3%

7%

0%

10%

Withi O i ti IT O t id O i ti IT Withi O i ti N IT O t id O i ti N ITWithin Organization, IT Outside Organization, IT Within Organization, Non‐IT Outside Organization, Non‐IT

Average 33.1% 58.1% 4.2% 4.7%


451 CIOs Reporting

Top 10 Performance Measures for CIOs % selecting Rank

Value of IT to the business 40.80% 1Business

User satisfaction 29.94% 2

IT's contribution to strategy 27.72% 3Business

Business

Innovative new ideas 20.18% 4

Availability 18.63% 5

Business

IT

Projects Delivered on Time 17.74% 6

IT Cost controls 13.30% 7

IT

IT

Productivity improvement 12.20% 8

Business Cost Reduction Controls 9.53% 9Business

Business

Revenue Growth 9.53% 9Business


451 CIOs Reporting

Top 10 IT Performance Measures for Personal (CIOs) Compared to Internal ITfor Personal (CIOs) Compared to Internal IT

Used for:Personal CIO

2014Rank

Internal IT2014RankPerformance Measures Rank Rank Performance Measures

Value of IT to the business 1 3

User satisfaction 2 2

Business

Business

IT's contribution to strategy 3 9

Innovative new ideas 4 16

Business

Business

Availability 5 1

Projects Delivered on Time 6 4

IT

IT

IT Cost controls 7 8

Productivity improvement 8 6

B i C t R d ti C t l 9 10

IT

B i

Business

Business Cost Reduction Controls 9 10

Revenue Growth 9 15Business

Business


451 CIOs ReportingSorted by Personal (CIOs) IT importance rankings

With Whom do CIOs Spend Their Time? Average Percent of a CIO’s Time Spent Working with …

0% 10% 20% 30% 40%

19.8%

20.5%

C‐Level (non‐IT) personnel

Business (non‐IT and non‐C‐Level) personnel

30.3%IT employees within your organization

IT contractors vendors and service suppliers8.0%

6.0%

IT contractors, vendors, and service suppliers (who are not employees of your organization)External customers and/or suppliers of your

organization

2.8%

o ga at oIT personnel of external customers and/or

suppliers of your organization

IT ll id f i i 4.3%

7.8%

IT colleagues outside of my organization

Working Alone

34

0.5%Other 305 CIO Respondents

© 2014 SIM International & Leon Kappelman, Primary Investigator

With Whom do the CIOs Spend Their Time?


305 CIOs Reporting

Percentage of CIOs Interacting with …How Do CIOs Spend Their Time?

e ce tage o C Os te act g t …


What Do CIOs Do with Their Time?% selecting an activity

Activities Performed by CIOs: % selecting an activity (standardized to 100%)

IT BusinessBusiness priorities, strategy, architecture 8.1%

i i i / 8 0%IT priorities/strategy 8.0%Managing organizational change 6.8%Non‐IT‐related activities 5.1%Evangelist for the business 4.8%Evangelist for the business 4.8%Business research 5.1%IT Evangelist 5.9%IT Governance 5.4%IT h d l 4 7%IT human resources and talent management 4.7%IT operations/facilities management 5.1%Knowing the needs of IT customers 6.6%Knowing the needs of customers of the business 6.5%o g e eeds o cus o e s o e bus ess 6 5%Project management 6.7%Software development 4.1%Technical research 5.9%R ll ti /b d ti 6 0%Resource allocation/budgeting 6.0%

SUB TOTALS 51.7% 42.9%Managing my personal network 5.4%

TOTAL 100.0%


Top 10 Skills for CIO Success

Most Important Skills % selecting Rank Providing leadership 34 3% 1Providing leadership 34.3% 1

People management / relationships 29.5% 2

Strategic planning 23.7% 3Strategic planning 23.7% 3

Decision making 23.4% 4

Communication (oral) 20.8% 5( )Collaboration with others / teamwork 20.2% 6

Emotional intelligence 16.0% 7gHonesty / credibility 15.4% 8

Business analysis 11.9% 8yChange management 11.2% 10


312 CIOs Reporting

Most Important Skills for Success as an IT Professional(New Hires, Mid‐Management and CIOs) ( , g )

50%

Providing leadership

CIOIT Middle ManagementNew IT Hires

Top 5 for eachSorted by CIO importance rankings

30%35%

40%

45%

50%People

management / relationships

Functional area knowledge

10%

15%

20%25%

30%

Strategic Technical

Career paths

0%

5%10% g

planning knowledge

Decision MakingProblem solving

Core skills

Communication Collaboration with others / (oral) with others / teamwork


312 CIO Respondents

Most Important Skills for Success as an IT Professional(New Hires, Mid‐Management and CIOs) ( , g )

45%

50%

CIO IT Middle Management New IT Hires

30%

35%

40%

15%

20%

25%

5%

10%

0%

Top 10 for eachS t d b N IT Hi i t ki


312 CIO RespondentsSorted by New IT Hires importance rankings

“In a time of drastic change it is the l h i h i h f Thlearners who inherit the future. The learned usually find themselves y fequipped to live in a world that no longer exists ”longer exists.”

– Eric Hoffer


35th Anniversary SIM IT Trends Studyy y

IT Management Issues and Investments

“We are entering a period of consequences. We cannot avoid thi i d i it ” Wi t Ch hillthis period; we are in it now.” – Winston Churchill


The Largest TechnologyTechnology InvestmentsInvestmentsof Organizations


Organization’s Largest IT InvestmentsTop 10: Senior IT Leader – 2014 – Percent Selecting

19 1%

30.1%

D t C t I f t t

Analytics Business Intelligence

Top 10: Senior IT Leader 2014 Percent Selecting

18.7%

19.1%

l / f l

Enterprise Resource Planning

Data Center Infrastructure

15.6%

18.4%

Cloud Computing

Application / Sofware Development

11.9%

13.8%

Security / Cybersecurity

Customer Relationship Management

11.0%

11.2%

Network / Telecommunications

Integration / Enterprise Application Integration

9%

0% 5% 10% 15% 20% 25% 30% 35%

Big Data

44


© 2014 SIM International & Leon Kappelman, Primary Investigator

Senior IT Leader – Top 10Organization’s Largest/Most Significant IT Investmentg g / g

2014 2013Analytics Business Intelligence 1 1

Data Center Infrastructure 2 NEW

Enterprise Resource Planning 3 4

Application / Software Development 4 6

Cloud Computing 5 3

Customer Relationship Management 6 2

Security / Cybersecurity 7 14

I t ti / E t i A li ti I t ti 8 7Integration / Enterprise Application Integration 8 7

Network / Telecommunications 9 8

Big Data 10 5Big Data 10 5

Dropped off the Top 10:• Mobile Wireless apps (from 6th to 13th)


Unique Organizations : 2014 =717; 2013 = 483

• Customer/Corporate portals (from 9th to 16th)

IT Investments, 2003‐2014Organization’s Top 10 Largest/Most Significant

IT Investments 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003

A l i / B i I lliAnalytics / Business Intelligence 1 1 1 1 1 1 2 2 2 3 2 1Data Center Infrastructure 2 NewEnterprise Resource Planning 3 4 3 3 3 3 14 6 5

Application & Software Development 4 6 11Application & Software Development 4 6 11

Cloud Computing (e.g. SaaS, PaaS, IaaS) 5 3 2 2 5 17

Customer Relationship Management 6 2 5 5 9 13

Security / Cybersecurity 7 14 11 8 8 1Security / Cybersecurity 7 14 11 8 8 1

Integration 8 7 8 9 18 5 12 10 2 8 3

Network/ Telecommunications 9 8 12

Big Data 10 5 10Big Data 10 5 10

Larger increase in rank Dropped off the Top 10:

• Mobile Wireless apps (from 6th to 13th)Larger decrease in rank

Mobile Wireless apps (from 6 to 13 )• Customer/Corporate portals (from 9th to 16th)



Most Personally Worrisome Technology Concerns of Senior IT Leaders 2014 2013

Security / Cybersecurity 1 2

Analytics Business Intelligence 2 1

Disaster Recovery 3 3

Integration / Enterprise Application Integration 4 7Integration / Enterprise Application Integration 4 7

Application / Software Development 5 15

Cloud Computing 6 4Cloud Computing 6 4

Innovation / Disruptive Technologies 7 New

Legacy Applications 8 8

Enterprise Resource Planning 9 9

“Keeping the IT lights on”

Data Center / Infrastructure 10 New“Increasing business capabilities”Keeping the IT lights on


Unique Organizations Reporting: 2014 =717; 2013 = 483

Increasing business capabilities

Comparing IT Leaders’ Most Worrisome to the Organization’s Largest IT Investment (2014)g g

Smaller spend, big worry: KTLO, IT value proposition.

Big spend smaller worry: Been there done that


Big spend, smaller worry: Been there, done that.

The Top IT Management Issues andIssues and Concerns


Organization’s Most Important IT Management ConcernsTop 10: Senior IT Leader ‐ 2014 ‐ Percent Selectingp g

26%Alignment of IT and/with the business

17%

18%

Business Agility/Flexibility

Security/Privacy

15%

16%

IT Time‐to‐Market

Business Productivity

13%

13%

Velocity of Change in Business

IT Value Proposition in the business

12%

13%

Busines Cost Reduction Controls

Innovation

11%

0% 5% 10% 15% 20% 25% 30%

Revenue Generating IT Projects



Organization’s Most Important IT Management Concerns2014 20132014 2013

Alignment of IT and/with the business 1 1

Security/Privacy 2 7cSecurity/Privacy 2 7

Business Agility/Flexibility 3 2

B i P d ti it 4 3

c

Business Productivity 4 3

IT Time‐to‐Market / Speed of Delivery 5 New

IT Value Proposition in the business 6 New

Velocity of Change in Business 7 New

Innovation 8 New

Business Cost Reduction /Controls 9 4

Revenue Generating IT Projects 10 10

Large change in rank


Unique Organizations Reporting: 2014 =717; 2013 = 483

Large change in rank

• “IT Cost Reduction and Controls”Fell off the Top 10 of IT Management Concerns

• “IT Cost Reduction and Controls”‐ In the organizations’ Top 10 issues since 2003‐ Dropped to 17th

• “IT Service Delivery / ‘Keeping the Lights On’”‐ Ranked 8th in 2013‐ Dropped to 22nd‐ Dropped to 22

• “IT Efficiency”‐ In the organizations’ top 10 issues since 2009‐ Dropped to 21st

These IT management concerns moved into the Top 10 ‐ IT Time‐to‐Market / Speed of Delivery‐ IT Value Proposition in the business‐ Velocity of Change in Businessy g‐ Innovation


h k l d i h ?What keeps IT leaders up at night?

TOP 51. Security1. Security2. IT skill shortage3 Alignment of IT with the business3. Alignment of IT with the business4. IT time to market / Speed of delivery5 IT value proposition to the business5. IT value proposition to the business


Top IT Management Concerns/Issues Most Important/Worrisome to YOU Personallyp / y


Senior‐most IT leader in n unique organizations reporting: 2014 n = 717; 2013 n = 483

2014 Most Important/Worrisome to YOU Personally(compared to organization’s most important)

Most Important or Worrisome to IT

( )

Most Important to the Organization

( ) IT Management IssuesLeaders (in 2013) (in 2013) IT Management Issues1 (2) 2 (7) Security/Privacy

2 ( ) 18 ( ) IT T l t/Skill Sh t /HR2 (3) 18 (16) IT Talent/Skill Shortage/HR

3 (1) 1 (1) Alignment of IT with the Business

4 5 IT Ti t M k t4 (New) 5 (New) IT Time‐to‐Market

5 (New) 6 (New) IT Value Proposition to the Business

6 14 P i i i i P f IT P j6 (5) 14 (11) Prioritization Process for IT Projects

7 (New) 26 (New) Velocity of Change in IT

8 14 i l i8 (11) 14 (15) IT Strategic Planning

9 (New) 7 (New) Velocity of Change in Business

10 2755© 2014 SIM International & Leon Kappelman, Primary Investigator

10 (4) 27 (14) IT Disaster Recovery717 Unique Organizations Reporting

THE BOTTOM LINETHE BOTTOM LINEand what to do about it …


THE BOTTOM LINEChangingThink BigBe Nimble

Results show we’re in a time of profound change for business, technology, IT departments, and IT leaders.

Be NimbleMove FastChallenging

• Focus of organizations and IT leaders changing. Emphasis on business value, strategy, innovation, and speed.on business value, strategy, innovation, and speed.

• How IT dollars are being spent is changing.• How IT is being delivered in changing.How IT is being delivered in changing.• With whom IT leaders spend their time is changing.• What IT leaders do with their time is changing.What IT leaders do with their time is changing.

Not all organizations CIOs or C‐suite denizens will successfullyNot all organizations, CIOs, or C‐suite denizens will successfully make it through the gauntlet of this transition periods.




THE BOTTOM LINEChangingThink BigBe Nimble

Results show we’re in a time of profound change for business, technology, IT departments, and IT leaders.

Be NimbleMove FastChallenging

• Focus of organizations and IT leaders changing. Emphasis on business value, strategy, innovation, and speed.

To be one of the “CIO” or “CTO” survivors:• Learn the business: Be the business. Become the business.on business value, strategy, innovation, and speed.• How IT dollars are being spent is changing.• How IT is being delivered in changing.

• Build strong, value‐creating relationships (partnerships) with…• Yourself and the C‐suite.• IT and the business, and its customers and suppliers.How IT is being delivered in changing.

• With whom IT leaders spend their time is changing.• What IT leaders do with their time is changing.

IT and the business, and its customers and suppliers.• IT and its vendors and suppliers.

• Build a strong team, with a strong bench.M k IT h d i t t d fl ibl d f tWhat IT leaders do with their time is changing.

Not all organizations CIOs or C‐suite denizens will successfully

• Make IT more shared, integrated, flexible, secure, and fast.• Learn from trusted sources (e.g., your fellow SIM members).Not all organizations, CIOs, or C‐suite denizens will successfully make it through the gauntlet of this transition periods.




“It is not the most intellectual of the species that “ h l bl

“Ne er ne er ne er gi e p!”“No one has to change. “In a time of drastic change it is the learners who inherit the future The

survives; it is not the strongest that survives; but the species that survives is the one that is able to “If your time to you is worth savin’; Then you b tt t t i i ’ ’ll i k lik

“The only sustainable competitive advantage is an organization's ability to “Never, never, never give up!”

– Winston Churchill

gSurvival is optional.”

learners who inherit the future. The learned usually find themselves equipped

l ld h l ”

adapt to and to adjust best to the changing environment in which it finds itself.”better start swimmin’ or you’ll sink like a stone; For the times they are a‐changin’.”

ad a tage s a o ga at o s ab ty tolearn faster than the competition.”

― Peter M SengeWinston Churchill– W. Edwards Demingto live in a world that no longer exists.”

– Eric Hoffer

environment in which it finds itself.– Leon Megginson (describing Charles Darwin’s findings)

; y g– Bob Dylan

― Peter M. Senge

Eric Hoffer


A PEEK @SIMposium

Panelists

p4‐November‐2014

Bill Peterson, LiquidHubCaren Shiozaki, Thornburg Mortgage

Jennie Zamberlan, AvantiaJoseph Pucciarelli, IDCJoseph Pucciarelli, IDC

PresentersLeon KappelmanEph McLeanVess Johnson

Comprehensive Report www simnet org/?ITTrendsStudywww.simnet.org/?ITTrendsStudy


a peek @ trends'15 - simposium'14 final 2post

Documents

d t h t h

cio position

executives population

misqe simhasspecificobjectives

sim members c4800 senior

value proposition

avantiajoseph pucciarelli

liquidhubcare shiozaki